Key Highlights
Revenue increased by 9% to $258.0 million in the first quarter 2017 from $237.4 million in the first quarter 2016
EBITDA(2) was $33.0 million in the first quarter 2017, a 56% increase over the same period in 2016
AMG ended the first quarter 2017 net debt free, with net cash of $0.5 million
Net income attributable to shareholders increased by 30% to $15.6 million in the first quarter 2017 from $12.0 million in the first quarter 2016
Operating cash flow was $17.8 million in the first quarter 2017, an increase of $22.2 million over the same period in 2016
Annualized return on capital employed increased to 25.5% in the first quarter 2017, as compared to 14.7% in the first quarter 2016

Amsterdam, 4 May 2017 (Regulated Information) --- AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") reported first quarter 2017 revenue of $258.0 million, a 9% increase from $237.4 million in the first quarter 2016. EBITDA for the first quarter 2017 was $33.0 million, a 56% increase from $21.2 million in the first quarter 2016. Net income attributable to shareholders increased to $15.6 million in the first quarter 2017 from $12.0 million in the first quarter 2016.

Dr. Heinz Schimmelbusch, Chairman of the Management Board and CEO, said, "AMG's focus on operational excellence once again resulted in solid financial results in the first quarter 2017.

AMG Engineering achieved EBITDA of $7.3 million during the first quarter 2017, a 57% increase from $4.6 million in the first quarter 2016. AMG Engineering signed $81.8 million in new orders during the first quarter 2017, representing a 1.29x book to bill ratio. The Engineering segment continues to experience strong demand for turbine blade coating and plasma remelting furnaces for the aerospace market and heat treatment furnaces for the automotive market. Order backlog was $154.3 million as of March 31, 2017, an increase of 14% compared to December 31, 2016. The strong results in AMG Engineering reflect our efforts to diversify our product offerings in recent years, including the introduction of powder metallurgy and SyncroTherm in-line heat treatment furnaces.

AMG Critical Materials generated EBITDA of $25.7 million during the first quarter 2017, thanks to strong financial performance in vanadium, titanium alloys, and chrome, as well as the recognition of additional tantalum deferred revenue.

AMG generated cash from operating activities of $17.8 million during the first quarter 2017, an increase of $22.2 million compared to the same period in 2016. This strong cash flow generation enabled AMG to end the first quarter net debt free, with net cash of $0.5 million."

Key Figures
In 000's US Dollar
Q1 '17 Q1 '16 Change
Revenue $257,969 $237,399 9%
Gross profit 52,503 44,223 19%
Gross margin 20.4% 18.6%
Operating profit 21,028 12,933 63%
Operating margin 8.2% 5.4%
Net income attributable to shareholders 15,566 11,974 30%
EPS - Fully diluted 0.50 0.42 19%
EBIT (1) 25,721 13,815 86%
EBITDA (2) 32,966 21,189 56%
EBITDA margin 12.8% 8.9%
Cash from (used in) operating activities 17,830 (4,320) N/A


Note:
EBIT is defined as earnings before interest and income taxes. EBIT excludes restructuring and equity-settled share-based payments and includes foreign currency gains or losses.
EBITDA is defined as EBIT adjusted for depreciation and amortization.

Operational Review

AMG Critical Materials
Q1 '17 Q1 '16 Change
Revenue $194,506 $176,555 10%
Gross profit 36,268 30,479 19%
Operating profit 15,610 10,478 49%
EBITDA 25,668 16,545 55%

AMG Critical Materials revenue in the first quarter increased by $18.0 million, or 10%, to $194.5 million, driven by improved vanadium, molybdenum, nickel, aluminum and antimony prices, and higher sales volumes of chrome, antimony and titanium products.

Gross profit in the first quarter increased by $5.8 million, or 19%, to $36.3 million. Strong financial performance in vanadium, titanium alloys and chrome was partially offset by lower gross profit in silicon. In addition, AMG Critical Materials incurred an asset impairment expense of $2.2 million in the first quarter 2017 as a result of fire damage sustained at the Mibra mine in Brazil. AMG is insured for the damage sustained and the business interruption, and in accordance with IFRS, will recognize the insurance proceeds once recovery amounts are virtually certain.

Following the early cancellation of AMG Mineração's long term tantalum supply contract, deferred revenue recognized in the first quarter 2017 increased by $6.8 million, compared to the first quarter 2016, resulting in additional tantalum revenue and profitability.

SG&A expenses in the first quarter 2017 increased by $0.7 million, or 3%, compared to the same period in the prior year, due to an increase in the allowance for doubtful accounts associated with AMG's tantalum business.

First quarter 2017 EBITDA margin increased to 13%, compared to 9% in the first quarter 2016, due primarily to the improvement in gross profit in the quarter.

AMG Engineering
Q1 '17 Q1 '16 Change
Revenue $63,463 $60,844 4%
Gross profit 16,235 13,744 18%
Operating profit 5,418 2,455 121%
EBITDA 7,298 4,644 57%

AMG Engineering signed $81.8 million in new orders during the first quarter 2017, representing a 1.29x book to bill ratio. Order backlog was $154.3 million as of March 31, 2017, an increase of 14% from December 31, 2016.

AMG Engineering's first quarter 2017 revenue increased $2.6 million, or 4%, to $63.5 million, due to strong sales of turbine blade coating and induction furnaces for the aerospace market and heat treatment furnaces for the automotive market.

First quarter 2017 gross profit increased by $2.5 million, or 18%, to $16.2 million due to higher revenues and product mix effects. Gross Margin increased slightly to 26% from 23% in the first quarter 2016 due to product mix effects.

SG&A expenses decreased slightly by $0.4 million, or 4%, compared to the prior year due to lower personnel costs.

EBITDA increased by $2.7 million to $7.3 million in the first quarter 2017, driven by higher gross profit and lower SG&A costs.

Financial Review
Tax
AMG recorded an income tax expense of $3.5 million in the first quarter 2017 as compared to a tax expense of $0.3 million in the same period in 2016. AMG paid taxes of $1.5 million in the first quarter 2017 as compared to tax payments of $1.9 million in the same period in 2016. For the first quarter 2017, AMG's effective cash tax rate was 8%, compared to 15% in the same period in 2016.

Non-Recurring Items
AMG's first quarter 2017 gross profit of $52.5 million includes non-recurring items, which are not included in the calculation of EBITDA.

A summary of non-recurring items included in gross profit in the first quarters of 2017 and 2016 are below:
Non-recurring items included in gross profit
Q1 '17 Q1 '16 Change
Gross profit $52,503 $44,223 19%
Restructuring expense 467 68 587%
Asset impairment expense 2,217 - N/A
Gross profit before non- recurring items 55,187 44,291 25%

Gross profit before non-recurring items by reporting segment
Q1 '17 Q1 '16 Change
AMG Critical Materials $38,885 $30,476 28%
AMG Engineering 16,302 13,815 18%
Gross profit before non- recurring items 55,187 44,291 25%

AMG Critical Materials gross profit in the first quarter 2017 was negatively impacted by asset impairment expenses of $2.2 million related to the Mibra mine in Brazil.

The Company decided to modify its income statement presentation in order to take into consideration ESMA's latest recommendations. This new presentation results in the reclassification of restructuring expenses and asset impairment expenses into expenses by function, and consequently gross profit. Accordingly, the comparative figures of the 2017 consolidated financial statements have been restated to comply with IFRS requirements.

Liquidity
March 31, 2017 December 31, 2016 Change
Total debt $165,951 $168,080 (1%)
Cash and cash equivalents 166,456 160,744 4%
Net (cash) debt (505) 7,336 N/A

AMG had a net cash position of $0.5 million as of March 31, 2017. Net debt decreased by $7.8 million and total debt decreased by $2.1 million from December 31, 2016.

Cash from operating activities increased by $22.2 million to $17.8 million in the first quarter 2017.

Capital expenditures increased to $10.9 million in the first quarter 2017 compared to $6.9 million in the same period in 2016. Capital spending in the first quarter 2017 included $4.8 million of maintenance capital. The largest expansion capital projects were AMG's lithium project in Brazil, and titanium aluminide expansion in Germany.

Including the $166.5 million of cash, AMG had $354 million of total liquidity as of March 31, 2017.

Net Finance Costs
AMG's first quarter 2017 net finance costs slightly increased to $2.0 million compared to $1.8 million in the first quarter 2016.

SG&A
AMG's first quarter 2017 SG&A expenses were $31.6 million compared to $31.3 million in the first quarter 2016, primarily due to an increase in the allowance for doubtful accounts during the period.

Outlook
AMG expects full year 2017 profitability to be in-line with 2016 levels, assuming that the business interruption insurance claim related to the fire in Brazil is received in the current financial year.
AMG's management team is focused on delivering our highly accretive lithium project and executing our long-term lithium strategy. In addition, we will continue to pursue other acquisition opportunities and organic growth projects in order to generate long term value for our shareholders.

tijd 09.15
De Smallcap 974,92 +2,05 +0,21% AMG EUR 25.375 +59ct vol. 70.849


AMG Advanced Metallurgical Group N.V. Presents Update on AMG's Long-term Financial Goals

Amsterdam, 4 May 2017 (Regulated Information) --- AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") is pleased to announce that during its Annual Meeting held in Amsterdam on May 4, 2017, Dr. Heinz Schimmelbusch, CEO and Chairman of the Management Board, presented the Company's strategic framework, including guidance on AMG's long-term financial goals. Through the execution of a combination of well-developed, highly accretive growth projects, including AMG's entrance into the lithium market, AMG expects EBITDA to exceed $200 million within 5 years.

Dividend
AMG Advanced Metallurgical Group N.V. Announces Final Dividend for 2016
Amsterdam, 4 May 2017 (Regulated Information) --- AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") is pleased to announce that during the Annual General Meeting, held on May 4, 2017, AMG's shareholders approved the payment of a dividend of €0.27 per ordinary share over the financial year 2016. The interim dividend of €0.13, paid on August 16, 2016 will be deducted from the amount to be distributed to shareholders. The proposed final dividend per ordinary share therefore amounts to €0.14.
The final dividend will be payable on or around May 16, 2017, to shareholders of record on May 9, 2017. The ex-dividend date will be May 8, 2017. Dutch withholding tax will be deducted from the dividend at a rate of 15%.

AVA besluiten
AMG Advanced Metallurgical Group N.V. Announces Results of 2017 Annual Meeting of Shareholders
Amsterdam, 4 May 2017 (Regulated Information) --- AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") is pleased to announce that during its Annual Meeting held in Amsterdam on May 4, 2017, all proposed agenda items were approved by the shareholders, including the reappointment of Mr. Eric Jackson as Chief Operating Officer ("COO") and member of the Management Board for a term of 4 years, with effect from May 4, 2017.
Two appointments and two reappointments were made to the Supervisory Board at the Annual General Meeting. AMG is pleased to announce that Mrs. Suzanne Rich Folsom and Mr. Willem van Hassel were appointed as members of the Supervisory Board effective May 4, 2017, both for terms of 4 years. In addition, Mr. Jack Messman and Mr. Herb Depp were reappointed as members of the Supervisory Board effective May 4, 2017, with Mr. Messman reappointed for a term of 2 years and Mr. Depp for a term of 4 years.
During the meeting, Dr. Heinz Schimmelbusch, CEO and Chairman of the Management Board, presented the Company's strategic framework, including guidance on AMG's long-term financial goals. Through the execution of a combination of well-developed, highly accretive growth projects, including AMG's entrance into the lithium market, AMG expects EBITDA to exceed $200 million within 5 years.
The full results of the Annual Meeting, along with the presentations made by Management, can be found on AMG's corporate website (http://www.amg-nv.com/).